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6. Selected operating data for two divisions of Vulcan distributing are given below: East Sales West $3,000,000 Average operating assets $8,000,000 1,800,000 Net operating income

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6. Selected operating data for two divisions of Vulcan distributing are given below: East Sales West $3,000,000 Average operating assets $8,000,000 1,800,000 Net operating income 3,000,000 320,000 Minimum required rate of return 760,000 14% 16% Required: Compute the return on investment (ROI) for each department using the formula stated in terms of margin and turnover. Compute the residual income for each division. Bonus points-explain how you think the companies are doing

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